Germany's black-red coalition has finalized its heating law reform, building on February's agreement. Key addition: landlords and tenants will split costs 50/50 for green fuels in new systems, mandatory from 2029 with rising biogenic quotas.
Following the February agreement that scrapped the controversial 65 percent renewable energy rule for new heaters, Germany's CDU/CSU-SPD coalition has now resolved remaining disputes over the Building Energy Act reform, per a coalition paper reported by Handelsblatt.
Landlords and tenants will equally share costs for green fuels like biomethane, as well as gas network fees and CO₂ levies, in newly installed heating systems. From January 1, 2029, new heaters must use biogenic fuels (from renewable materials, animal residues, or green hydrogen), starting at 10 percent and increasing in three stages. Existing systems face a green gas quota from 2028, rising via a four-step 'bio-staircase' by 2040.
Critics argue this still burdens landlords with fossil fuel systems, despite earlier promises of relief.